Art. 38

(Art. 21 para. 2 Sec. 28 let. b and c VAT Act)

1. Interests of public authorities in private or public companies within the meaning of Article 21 paragraph 2 number 28 letter b VAT Act include both direct and indirect equity interests.
2. Institutions and foundations established by public authorities within the meaning of Article 21 paragraph 2 number 28 letter c VAT Act include institutions and foundations both directly and indirectly established by public authorities.
3. The tax exemption extends to: a. supplies between private or public companies whose equity interests are held exclusively by public authorities, and: 1. companies held exclusively by such companies, whether directly or indirectly, or 2. the institutions and foundations of which they are the sole founders or sponsors; b. supplies between institutions or foundations whose founders or sponsors are exclusively public authorities, and: 1. the companies held exclusively by these institutions or foundations, whether directly or indirectly, or 2. the institutions and foundations of which they are the sole founders or sponsors.¹